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Administrative Law Keyed to Funk
Arkansas Power & Light Co. v. Interstate Commerce Commission
Citation:
725 F.2d 716 (1984)Facts
Arkansas Power & Light Co. and other utilities petitioned the ICC to institute a rulemaking proceeding to implement the Long-Cannon Amendment to the Staggers Rail Act of 1980. The Amendment was designed to protect captive shippers from bearing a disproportionate share of railroad revenue needs. The petitioners sought a determination of what evidence would be relevant to a Long-Cannon inquiry, required production of such evidence from railroads nationwide, and development of standards for statutory compliance. They argued that a carrier-specific data base was necessary to properly implement the Staggers Act. After nine months, the ICC refused to institute rulemaking, stating that the Long-Cannon factors would be considered through case-by-case adjudication. The ICC also issued a Policy Statement outlining how the factors would be applied in future proceedings, including placing the burden of proof on the party who would otherwise bear it in rate proceedings. The utilities challenged both the refusal to engage in rulemaking and the substance of the Policy Statement.
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